VICTOR, N.Y. (WROC) — Victor-based Constellation Brands reported a second quarter net loss of more than half a billion dollars.
Constellation’s core businesses — beer and wine — are doing well, but the company’s investment in marijuana is responsible for most of the loss.
Constellation invested more than $4 billion in the Canadian Pot Company called Canopy Growth. Bloomberg called it a “big bet” on weed becoming legal in the United States, but that big bet has not paid off.
The company reported a net loss of $525 million, with 80% of the losses coming from its marijuana business. A sharp turn from last year’s second quarter when the company reported more than $1 billion in profits.
The company started in Victor in 1945 and is still headquartered there.
Despite the loss, Yahoo News reports the company’s core businesses are doing well and beer saves jumped 7%.